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Bream gives Richard the highest offer of all the VC firms: 20% equity at a 0 million valuation.Monica privately visits Richard to urge them to decline the offer, calling it a "runaway valuation that they could never live up to", which would result in diluting Series A investors in future financing rounds.Belson convincingly argues that Pied Piper is no different: the ultimate objective of any company is to scale and become a publicly traded corporation just like Hooli.He insists the lawsuit will bankrupt Pied Piper and that Richard should get something out of his company while still possible.

Pied Piper cannot afford this retainer, but Hendricks receives a phone call from Gavin Belson.Bachman insists that this is a strategy to lower Pied Piper's valuation.He responds to each offer by insulting each venture capital firm.Richard secretly meets Belson at a Mexican restaurant, where Belson offers to buy out Pied Piper at a higher valuation than the initial million offer.Richard rejects outright claiming that he doesn't want his compression algorithm to become the property of the heartless Hooli corporation.

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Watching from the audience, the Pied Piper team generally admits defeat.

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